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Technology Stocks : Western Digital (WDC) -- Ignore unavailable to you. Want to Upgrade?

To: Philip Aaron Etttedgui who wrote (7578)	11/14/1997 4:36:00 AM
From: Pierre-X	Respond to of 11057

All: Shareholder Meeting Hell-O all. It's 1:00AM my time and I just got home from Irvine where I was at the WDC shareholder meeting this morning. Were ANY of you there?? I'm totally fragged. I'll post my notes tomorrow. But I'll say this: the Hagman is a lousy presenter and didnt field questions very well. Just an opinion. (We paid him $1,545,573 in salary/bonus in F97, plus options on 300,000 shares.) I confess that I was kind of tense from driving like crazy in the rain to get there, and talking in front of 200+ people -- it was a FULL house, standing room only when I got there, 10 minutes after it started. I did have the honor of having Kathy Braun answer some of my Q's afterward. (In F97, we paid her $982,000 in salary/bonus, and options on 150,000 shares) She was much more energetic, charming, and willing to address my concerns. Stay tuned for details. -Pierre-

To: Philip Aaron Etttedgui who wrote (7578)	11/14/1997 5:56:00 AM
From: Berney	Read Replies (1) \| Respond to of 11057

Phil -- Agree Completely!!!

To: Philip Aaron Etttedgui who wrote (7578)	11/14/1997 9:41:00 AM
From: Sam	Read Replies (2) \| Respond to of 11057

Philip, "From what I know and from what I hear from a myriad of resellers, prices are continuing to fall week after week. Expect ruthless cost-cutting on the part of WDC management this quarter. Large-scale layoffs are around the corner. This will be true for all the dd makers." If what you say above is true, then in order for WDC to be a "$100 stock at fair value", it would have to make more than $10/share, because the market will not award a PE of more than 10x to a stock in a sector where that kind of activity is occurring. It is difficult at best to see how they could make $10/share in the environment you describe. If you are long WDC or any other DD vendor, you should be hoping that ASPs stabilize in the next 2 or 3 months, and that the price cutting does not extend beyond 2.5-3 gig drives. Otherwise we DD investors are in for a long, sad year in 1998. If a vendor with decent capacity to produce "good enough" drives wants to sell their drives at cost and not make a reasonable profit--and they are allowed to get away with it--then we are toast.

To: Philip Aaron Etttedgui who wrote (7578)	11/14/1997 10:32:00 AM
From: rgladnick	Respond to of 11057

> start appreciating the collossal value of this company. > This is a $100 stock at fair value...You do the math How do you come up with a fair value of $100?